Opera Buys Skyfire for up to $155M

Opera revealed plans to transition its Web browsers to WebKit this week, and the Norwegian agency is making extra strikes after announcing the acquisition of Skyfire Labs, a cell video optimization specialist and fellow cell browser maker, in a deal that it says might be value up to $155 million.

Much like Opera, the Mountain View-based firm helps cell operators increase their capability by decreasing the scale of video and multimedia by up to 60 p.c, thanks to its Rocket Optimizer product. That know-how is a perfect match for Opera, which produces browsers than run with effectivity, permitting customers to surf the Web with out utilizing giant quantities of knowledge.

Skyfire can also be an app maker and its vary of software program — which incorporates the Skyfire Browser for iOS and Android, and an progressive cell extension that brings apps to browsers — has seen greater than 20 million cumulative downloads. That’s a way behind Opera, which now boasts greater than 300 million lively month-to-month customers, however it’s one more space that the 2 companies have in widespread.

The coming collectively will see the 2 launch joint merchandise to leverage one another’s optimization and browser know-how. In explicit Opera says its Web Pass providing — which permits pre-paid customers to higher management their use of the Web — will profit from Skyfire’s enter. The Skyfire Horizon extension will be part of the Opera Mediaworks cell advert community.

Opera says that the deal might be value $155 million in money and inventory. The cost consists of an upfront consideration of $50 million, with performance-based funds over the subsequent three years.

The deal is slated to shut by March 15 2013, after which Skyfire will turn into a wholly-owned entity of Opera. Skyfire CEO Jeffrey Glueck will turn into EVP of Opera’s operator enterprise whereas sustaining his Skyfire function. Glueck will head up the businesses’ joint efforts on the Opera Mini cell browser, as well as to overseeing Skyfire’s providers.

“Opera and Skyfire are a pure match,” stated Lars Boilesen, CEO, Opera Software. “Both corporations have developed far past their browser roots. Skyfire provides capabilities to our portfolio round video, app optimization, smartphones and tablets, and energy in North America. With video anticipated to devour over two-thirds of world cell bandwidth by 2015, and as time spent on Android and iOS apps explodes, we’re excited to lengthen Opera’s options for operators.”

Skyfire has raised just over $40 million in funding to date, and its backers embody Matrix Partners, Trinity Ventures, Lightspeed Venture Partners and others. It closed its Series D round worth $10 million in October 2012.

Here’s a have a look at how Skyfire Horizon, which launched in September 2012, works:


Headline picture by way of Shutterstock

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